The Argelia project are mining applications that provide a target for multiple intermediate sulfidation epithermal veins within a structural corridor that extends at least 2.5km and has a width of 0.25km. At least three distinct veins are inferred but workings suggest more veins remain to be identified. The veins typically range from 0.25 to 2m in width. Reconnaissance samples range from 0.51 g Au/t to 40 g Au/t. Silver to gold ratio is approximately 5 to 1 or higher.
Public records show that a private British mining company mined and produced gold on the project prior to 1950. The workings presumed to represent this activity have two levels spaced approximately 100m apart in elevation.
Location and means of access to the property:
The Argelia project is readily accessible by a combination of paved and all-weather gravel roads. It is located approximately 75 kilometers southeast of Medellín, by car 111km to Sonsón on paved National Route 56 and then 33km on unpaved roads to the town of Argelia, and then 3.5km on gravel roads to the project.
The three applications (KHP-08044 X, KHP-08045 X and KK6-08012 X) together cover an area of 4355 hectares.
Initial Prospecting and Exploration Model:
A private British company mined gold in the area prior to 1950; this information is corroborated by local inhabitants, who report an old mine comprising at least two levels and several adits.
Between 2010 and 2013, Bullet Group performed exploration activities in all three applications, leading to the identification of a series of adits and outcrops. Miranda performed reconnaissance work during the last quarter of 2013, visiting six (6) tunnels, namely the Diamond, Molino, Alirio, Santa Ines, Tesoro and Salon mines. This allowed for confirmation of the area's potential. In 2018, prospective work was restarted, leading to the identification of new outcrops and abandoned adits.
The veins are interpreted as intermediate sulfidation epithermal. The veins strike at an oblique angle to a shear zone and may be emplaced in dilational structures, secondary to the main shear. The shear is up to4km long and 2km wide. Within the shear is a fault zone of at least 2.5km strike and 0.25km width structural and containing at least three sub parallel veins or fault-veins with an azimuth between 225° and 245°, Veins widths range from 0.25 to 2m.
Adit sampling from Bullet Group 2013 report.
An area of workings illustrated that commonly show values >12 g Au/t, with a high value of 89 g Au/t.
Vein character and associated metals suggest an intermediate sulfidation (IS) epithermal system in the Argelia project area. This system contains veins that are several kilometers long, composed of crystalline and prismatic quartz with sulfides including pyrite, galena, sphalerite, and chalcopyrite. Alteration is of moderate intensity, restricted to major and minor structures, with presence of clay, sericite, pyrite, crushed quartz, and associated base metals and sulfosalts.
Left: Veinlets with sericitic alteration halos. Right: Vein with associated argillic alteration.
Gold in the veins occur with a Ag-Pb-Zn-As-Bi-Mo metal suite and an As-Ag-Sb-Hg trace element suite. The veins and alteration occur within faults of the greater Palestina Fault System.
Hand sample specimen, Tesoro mine tunnel. Presence of quartz, pyrite, galena and sphalerite.
Geology and Mineralization:
The project is within an altitude between 1600 and 2000masl. In general, the area contains Cajamarca-complex metamorphic rocks, composed by a group of quartz-sericite and graphite schist, biotitic quartzite, quartzitic gneiss and amphibolites. These rocks are intruded with quartz diorite and diorite bodies originating in the magmatic evolution of the plutonic complex of the Sonsón batholith (Gonzales 2001 in Valencia 2017).
Project fractures and faults are associated with the Palestina Fault System. Plutonic bodies intrude this fault system. The Palestina system presents dextral faulting, with strong tectonic influence in the evolution of the Sonsón batholith and associated project fault systems. Within the La Mina rural district (Vereda, in Spanish
), certain structures are observed and classified into three large groups, as detailed below (Fig 4).
Left: Vein, in La Mina near abandoned mills;
- Major structures, faults and veins: 60-65/85N.
- Minor structures, dikes and millimetric, mineralized veinlets: 150-155/85S
- Secondary structures, faulting zones with sulfide formation, pyrite in particular: 70/55S
Right: basaltic dikes, quartz veinlets, secondary structures.
Nature of interest and terms of acquisition:
In June 2017 Miranda signed a definitive agreement to acquire the Argelia Project from Bullet Holding Group ("Bullet") for payments and retained interests. The Agreement pertains to applications KHP-08044X, KHP-08045X, and KK6-08012X which together cover an area of 4355 hectares.
The terms of this agreement require that Miranda make the following series of payments and a share issuance - all based on the occurrence of the following events: